“Penny-wise, pound-foolish” approach of RBI is responsible for bank frauds
The recent detection of a Rs 590 crore fraud in IDFC First Bank has once again highlighted the vulnerabilities in India’s banking oversight system. While banks—whether government-owned, private, or cooperative—are regulated by the Reserve Bank of India (RBI), the framework for statutory audits remains fragmented and, in many ways, inadequate. This gap in auditing practices…